HC Financial Management Ch 1-4 Study
Questions and Answers Graded A+
What are some of the subsectors that make up the healthcare sector? - Correct
answer-- Health services (providers)
- Health insurance
- Medical equipment and supplies
- Consulting
- Education
- Regulative govt. agencies
- Private agencies
Healthcare finance - Correct answer-the accounting and financial management
principles and practices used within health services organizations to ensure the
financial well-being of the enterprise.
2 broad areas of healthcare finance - Correct answer-Accounting and Financial
management
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,Business - Correct answer-maintains its financial viability by selling goods and
services
pure charity - Correct answer-maintains financial viability soley from contributions
Role of finance in the health services sector - Correct answer-To plan for, acquire,
and use resources to maximize efficiency and value of an organization
Structure of a finance department - Correct answer-- Chief Financial Officer CFO
- CFO reports to CEO
- Comptroller: responsible for accounting and reporting (reports to CFO)
- Treasurer: responsible for acquisition/management of capital
Current concerns of healthcare managers - Correct answer-- reimbursement: takes
too long/not enough
- population health: the health of a community
- cost of supplies: supply chains are struggling
3 business forms - Correct answer-sole proprietorship, partnership, corporation
Propriertorship - Correct answer-A form of business organization with one owner
who takes all the risks and all the profits.
Partnership advantages and disadvantages - Correct answer-Advantages:
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, Easy to start
Ease of management
No business tax
Better able to attract financial capital
Efficient
Attract quality employees
Disadvantages:
Partners are responsible for each other
Limited life
Conflict
Corporation - Correct answer-A business owned by stockholders who share in its
profits but are not personally responsible for its debts
large organizations and non profit entities are - Correct answer-corporations
Investor owned vs. not for profit corporations - Correct answer-Investor owned:
stockholders own the corporation, have claim on residential earnings, are taxable
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
Questions and Answers Graded A+
What are some of the subsectors that make up the healthcare sector? - Correct
answer-- Health services (providers)
- Health insurance
- Medical equipment and supplies
- Consulting
- Education
- Regulative govt. agencies
- Private agencies
Healthcare finance - Correct answer-the accounting and financial management
principles and practices used within health services organizations to ensure the
financial well-being of the enterprise.
2 broad areas of healthcare finance - Correct answer-Accounting and Financial
management
©COPYRIGHT 2025, ALL RIGHTS RESERVED 1
,Business - Correct answer-maintains its financial viability by selling goods and
services
pure charity - Correct answer-maintains financial viability soley from contributions
Role of finance in the health services sector - Correct answer-To plan for, acquire,
and use resources to maximize efficiency and value of an organization
Structure of a finance department - Correct answer-- Chief Financial Officer CFO
- CFO reports to CEO
- Comptroller: responsible for accounting and reporting (reports to CFO)
- Treasurer: responsible for acquisition/management of capital
Current concerns of healthcare managers - Correct answer-- reimbursement: takes
too long/not enough
- population health: the health of a community
- cost of supplies: supply chains are struggling
3 business forms - Correct answer-sole proprietorship, partnership, corporation
Propriertorship - Correct answer-A form of business organization with one owner
who takes all the risks and all the profits.
Partnership advantages and disadvantages - Correct answer-Advantages:
©COPYRIGHT 2025, ALL RIGHTS RESERVED 2
, Easy to start
Ease of management
No business tax
Better able to attract financial capital
Efficient
Attract quality employees
Disadvantages:
Partners are responsible for each other
Limited life
Conflict
Corporation - Correct answer-A business owned by stockholders who share in its
profits but are not personally responsible for its debts
large organizations and non profit entities are - Correct answer-corporations
Investor owned vs. not for profit corporations - Correct answer-Investor owned:
stockholders own the corporation, have claim on residential earnings, are taxable
©COPYRIGHT 2025, ALL RIGHTS RESERVED 3
